SBI FCNR Rates 2026: USD, GBP, EUR, CAD & AUD Rates by Tenure
On 17 June 2026, the Reserve Bank of India did something it rarely does.
It temporarily removed the interest rate ceiling on fresh FCNR(B) deposits for the three to five year bucket.
Alongside it, RBI ran a concessional dollar-rupee swap facility for banks. The two together let banks quote FCNR rates they simply could not have quoted a year earlier.
Then, in mid-August, RBI brought the deposit mobilisation deadline forward. Banks now have only until 31 August 2026 to raise FCNR(B) deposits under that swap facility.
If you are an NRI in Dubai, London or New Jersey, that timing matters more than the rate itself. This piece explains how SBI FCNR rates are structured by currency and tenure. It also covers what changed this year, and how to read a rate card properly.
We will not print a rate table here. Rates move, and a stale number on a blog is worse than no number. We will show you exactly where to check and what to look for.
What changed in 2026, in plain terms
Two separate RBI actions are being reported as one story. Keeping them apart helps.
The first is a concessional USD-INR swap facility. It began on 8 June 2026 for FCNR(B) deposits of three to five year tenors. It lowers the hedging cost banks face when they convert your dollars into usable rupees.
The second is a temporary withdrawal of the FCNR(B) interest rate ceiling. RBI issued Amendment Directions dated 17 June 2026. The withdrawal applies to fresh and renewed FCNR(B) deposits of three to five years, and runs until 30 September 2026.
Note what was not withdrawn. The ceiling on FCNR(B) deposits of one year to under three years stays fully in force. So the eye-catching rates sit in the longer bucket, not the short one.
👉 Tip: The swap window closed early. RBI advanced the FCNR(B) mobilisation deadline to 31 August 2026 after inflows ran far ahead of expectations.
That early closure is the part most articles have not caught up with. If you are relying on a June headline, your information is already out of date.
Which currencies SBI offers, and which the headlines skip
SBI accepts FCNR(B) deposits in six currencies. They are USD, GBP, EUR, CAD, AUD and JPY.
Most coverage lists five and drops the Japanese yen. That is a small thing, but it tells you something. Yen rates have been structurally low for years, so the currency rarely makes a rate roundup.
The tenor range runs from a minimum of one year to a maximum of five years. RBI's deposit directions do not permit FCNR(B) deposits beyond five years. Recurring deposits are not allowed under the scheme at all.
Each currency carries its own minimum deposit size, set by the bank. Check the current minimum on the SBI FCNR(B) product page before you plan a transfer.
Why the rate differs so much across USD, GBP, EUR, CAD and AUD
This is the question we get most often in our community. Someone sees a strong USD number and a weak EUR number and assumes the bank is playing favourites.
It is not that. An FCNR rate is not really an Indian rate at all.
Under RBI's deposit directions, FCNR(B) rates are capped as a spread over an overnight reference rate. That benchmark is specific to each currency.
The reference rate is global, not Indian. So the interest rate on your deposit tracks the monetary policy of the currency you chose.
That is why the ranking shifts over time. When the US Federal Reserve holds rates high, USD leads. When the European Central Bank cuts, EUR falls back.
GBP, CAD and AUD move on their own central bank cycles.
👉 Tip: Do not pick the currency with the highest headline rate. Pick the currency you will actually spend in later.
That last point is the single most expensive mistake we see. An NRI in the UK books a USD deposit because the rate looks better. At maturity, they convert back to pounds.
The conversion spread can quietly eat the rate advantage.
How tenure changes the picture
The rate curve for FCNR(B) is not a smooth upward slope. It is shaped by regulation as much as by markets.
RBI sets different ceilings for the one to under three year bucket and the three to five year bucket. The longer bucket carries the wider permitted spread. In 2026, only the longer bucket had its ceiling lifted.
The practical result is a visible step in the rate card between the two and three year marks. Many depositors book two years without checking what three years pays. That step is worth a minute of your attention.
Interest mechanics also change with tenure. Under RBI's directions, FCNR(B) interest is calculated on a 360 day year and paid at intervals of 180 days. SBI offers two variants that treat those intervals differently.
If you do not need the income, STDR is usually the better structure. Compounding over four or five years on a foreign currency base does real work. If you need periodic income abroad, TDR is the honest choice.
Our note on interest calculation on NRI accounts covers the underlying mechanics.
Where to check the live SBI rate card
SBI publishes FCNR(B) rates by currency and tenure, and revises them periodically. Rates offered under the special 2026 window may differ from the standard card.
Check both of these before you commit. First, the SBI NRI services interest rates page for the official card. Second, confirm with your relationship manager whether the special window rate still applies to your booking date.
To compare across banks rather than within one, our NRI FD rates explorer puts current deposit options side by side.
For a wider view of how FCNR pricing has moved this cycle, see our piece on high FCNR deposit rates.
The lock-in nobody mentions in the rate headline
Deposits booked under RBI's 2026 special swap arrangement carry a mandatory one year lock-in. Banks cannot permit exit from that arrangement in the first year.
This sits on top of SBI's ordinary FCNR(B) premature withdrawal rule. That rule already says no interest is payable if you withdraw before one year.
After one year, SBI's stated approach is to pay the lowest of three rates. It compares three things.
The contracted rate, the rate that applied when you opened the deposit, and the current rate for the period run. No separate penalty is levied on top.
Read that again if you are thinking of a three year deposit as a parking spot. It is not. Your money is committed, and early exit is priced against you.
👉 Tip: Match the tenure to a real date in your life. A school fee, a property payment, a planned return.
If you want flexibility without giving up rate, laddering is the usual answer. Our guide on the NRI FD laddering strategy walks through how to stagger maturities so something is always coming due.
Also check what happens at maturity by default. Auto-renewal usually rolls the deposit at the then prevailing rate, which after this window could be materially lower. We covered the traps in auto-renewal on NRI FDs.
Tax: the part that makes FCNR attractive
SBI states plainly that interest on FCNR(B) deposits is exempt from Indian income tax. That exemption is tied to your residential status, not to the product.
This is the core reason FCNR appeals to NRIs. You hold foreign currency and earn a foreign currency return. India does not tax that interest while you remain non-resident.
The exemption is not permanent. SBI's own page notes that on relocation back to India, tax becomes payable depending on your tax status.
Your home country may still tax the interest. A UK or US resident generally reports worldwide income. Check your position under the relevant treaty rather than assuming India-side exemption is the end of the story.
For the broader Indian tax treatment of deposits held by non-residents, see tax on fixed deposits for NRIs.
What happens when you move back to India
This is where FCNR planning gets genuinely valuable, and where most people plan too late.
An existing FCNR(B) deposit can generally continue until maturity at the contracted rate even after you become resident. At maturity, it is typically converted into a Resident Foreign Currency account or a resident rupee deposit.
The tax treatment changes from the date your status changes. If you qualify as Resident but Not Ordinarily Resident, you may still get favourable treatment for a limited period. Once you become ordinarily resident, that shelter closes.
So the maturity date is a planning lever. Booking a tenure that lands inside your RNOR status window is a deliberate choice, not luck.
We have seen returning NRIs book a five year deposit eighteen months before moving home. The last stretch of interest lands squarely in taxable territory. A shorter tenure, or a laddered set, would have served them better.
Our detailed walkthrough of what happens to NRE and FCNR deposits after you return covers the sequencing.
👉 Tip: If you may return to India within five years, fix the maturity date before the currency.
FCNR against the alternatives
FCNR is not the only way to hold foreign currency exposure linked to India. It helps to see where it sits.
An NRE fixed deposit converts your foreign currency into rupees. You earn a rupee rate, which is usually higher, but you carry rupee depreciation risk on the whole corpus. Our comparison of NRE versus FCNR fixed deposits sets out the trade-off.
FCNR keeps the money in foreign currency throughout. Principal and interest are payable in that currency, so there is no exchange loss on the deposit itself. That is the whole point of the product.
We cover it further in our overview of protecting against rupee depreciation.
For the three-way view including NRO, see NRE, NRO and FCNR accounts compared. For repatriation mechanics, our note on repatriable versus non-repatriable NRI FDs is the shortest useful summary.
There is also the GIFT City route, which sits outside the domestic banking system. We compare the structures in GIFT City FD versus NRE FD versus FCNR FD.
One material difference deserves flagging. FCNR(B) deposits with a scheduled bank in India fall within the DICGC deposit insurance framework. That cover is subject to DICGC limits and rules.
Deposits with an IFSC Banking Unit in GIFT City do not carry the same cover.
That is not a reason to avoid GIFT City. It is a reason to know what protection you are and are not buying. We set out the position in GIFT City deposit insurance.
If you are a resident Indian reading this
FCNR(B) is not available to you. The scheme is for non-residents, and residents cannot open one.
Your route to USD exposure runs differently. GIFT City lets resident Indians access USD-denominated funds without the friction of the overseas remittance route.
If your portfolio is entirely Indian equity and rupee deposits, that concentration is worth examining. Currency is a risk you are already taking by default. Understanding real return after inflation and currency movement usually reframes the question.
Our GIFT City mutual funds explorer lists what is currently available. Funds span different mandates, from the DSP Global Equity Fund to the Tata India Dynamic Equity Fund.
Regional and domestic mandates are also on the platform. The Edelweiss Greater China Equity Fund and the Sundaram India Mid Cap Fund sit at opposite ends of that range.
Longer horizons and higher risk appetite open further routes. These include GIFT City alternative investment funds and the primary market. Our explainer on the first GIFT City IPO covers how that market works.
You can also browse the broader mutual fund products available, and track Indian market direction through the GIFT Nifty tracker.
The decision, put simply
Here is how we would frame it for someone deciding this month.
If your goal is capital safety in a currency you will spend abroad, FCNR does that job well. Match the currency to your future spending, not to the highest rate.
If your timeline is under a year, avoid FCNR entirely. The no-interest rule below one year makes it a poor short-term home. At that horizon, liquidity matters more than yield.
If you plan to return to India within five years, work backwards from your likely RNOR window. Choose the maturity date first.
If you want growth rather than preservation, a deposit is the wrong instrument. The rate looks good against its own history, not against long-run equity returns.
Mistakes we keep seeing
Chasing the currency, not the need. The ranking across USD, GBP, EUR, CAD and AUD reflects five central banks. It does not reflect five qualities of deposit.
Ignoring the lock-in. A special-window deposit is committed for at least a year, whatever the rate card implies.
Assuming the window is still open. RBI moved the FCNR(B) mobilisation deadline forward to 31 August 2026. Timelines in this space have already changed once.
Letting auto-renewal decide. A deposit booked at an exceptional rate can roll into an ordinary one without anyone signing anything.
FAQ
Which currencies does SBI accept for FCNR(B) deposits?
USD, GBP, EUR, CAD, AUD and JPY, per SBI's FCNR(B) product page. Most rate roundups omit the yen.
What is the minimum and maximum tenure?
One year minimum and five years maximum. RBI's deposit directions do not permit FCNR(B) deposits beyond five years.
Why is the USD rate different from the EUR rate?
Because FCNR rates are capped as a spread over an overnight reference rate for each specific currency. The benchmark is global, so each currency tracks its own central bank.
Is FCNR interest taxable in India?
SBI states that interest is exempt from Indian income tax for eligible non-residents. Tax becomes payable on relocation to India, depending on your tax status. Your country of residence may tax it separately.
Can I withdraw early?
No interest is payable if you withdraw within one year. Deposits under the 2026 special window carry a mandatory one year lock-in. After a year, SBI applies the lowest of three specified rates.
Do FCNR deposits carry deposit insurance?
FCNR(B) deposits with a scheduled bank in India fall within the DICGC framework, subject to its limits and rules. Check the current position on the DICGC website.
What we would do next
Verify the live card on SBI's own rates page, not on an aggregator. Confirm your booking date against the current window deadline. Then decide the tenure by reference to a date in your life, not a number on a screen.
Belong brings deposit and fund options into one place for comparison. Our WhatsApp community is where NRIs work through exactly these decisions together.
Sources
State Bank of India, FCNR(B) Account product page: https://sbi.bank.in/web/nri/accounts/fcnrb-account
State Bank of India, NRI Services FCNR deposit interest rates: https://sbi.bank.in/web/interest-rates/interest-rates/sbi-nri-services-interest-rates/sbi-nri-services-fcnr-deposit-interest-rate
Reserve Bank of India, Master Direction on Interest Rate on Deposits (FCNR(B) provisions on ceilings, day-count and interest intervals): https://www.rbi.org.in
Reserve Bank of India, Commercial Banks Interest Rate on Deposits Amendment Directions, 2026, dated 17 June 2026. These temporarily withdrew the FCNR(B) ceiling for three to five year tenors, until 30 September 2026
Business Standard, RBI lifts cap on FCNR(B) and NRE deposit rates, 17 June 2026
Business Today, RBI temporarily lifts interest rate caps on select FCNR(B) and NRE deposits, 17 June 2026
Gulf News and BasisPoint Insight, reporting RBI advancing the FCNR(B) mobilisation deadline to 31 August 2026, August 2026
Deposit Insurance and Credit Guarantee Corporation: https://www.dicgc.org.in
Income Tax Department, India: https://www.incometax.gov.in
Rates, ceilings and scheme deadlines change. Please verify every figure on the official SBI and RBI pages linked above before acting.
Disclaimer
This article is for information only and is not investment, tax or legal advice. It does not consider your personal circumstances, residential status or country of tax residence.
Deposit rates, regulatory ceilings and scheme windows change frequently. Figures and deadlines mentioned here reflect published positions at the time of writing and may have changed since.
Investor scenarios described in this article are illustrative composites drawn from patterns we see in advisory conversations. They do not describe any individual client.
Please consult a qualified tax adviser in both India and your country of residence before booking a deposit. Belong is an investment advisory platform and does not accept deposits.